The U.S. Office of the Comptroller of the Currency (OCC) proposed new regulations that could restrict how exchanges distribute yield from stablecoin reserves. This proposal has entered a 60-day public comment period.
The draft language targets arrangements where third parties pass reserve-generated income to customers for holding tokens. This development directly impacts the revenue-sharing agreement between Coinbase and Circle, the issuer of USDC.
Coinbase currently provides users a yield of approximately 4% for holding USDC on its platform. While the rules remain subject to revision, policy experts warn the current structure of Coinbase’s rewards program faces significant regulatory uncertainty.